Using Loan Docs for Income Verification

[ArizonaLawQuest]

I have a question

 

[Grandma's house]

I have a question.

Opposing counsel is saying that the independant CPA for our case is requesting my loan docs for income verification.

smart move, sorry

I have supplied the CPA with an inch worth of bank statements and tax returns.

the REAL stuff eh?

Also, I am a CPA and have audited numerous companies.

So you know this stated income loan was fraud, further you are admitting below that you intentionally deflate income for self emp. borrowers/clients

I am smelling something fishy.

That isn't "fish" cooking that is reality check in the pan

As a CPA, I would never forego an inch worth of documentation just because someone overstated their income on a loan application.

You did???

Overstating income on a loan app is a common occurence

It IS???

and has no basis on verifying income.

oh yes it does!!! you applied for a mortgage as a stated income loan. you signed it. if found to BE untrue you are admitting fraud. I was waiting for THIS to ever occur as a means to use for c.s., these stated income loans are going away too. just got a memo this a.m. that yet another lender is getting rid of it. in your case it exists.

As a neutral party, at the least, I would feel that the independant CPA would also request documents that self employed people usually understate their income.

admittingly that they cheat the IRS for their clients LOL? Who in their right mind is going to say/write this? A C.P.A. is going to say they assist client to deflate their actual income?

Should I call shenanigans. Is this fishy?

I think it's SMART on their part

Thanks for any help in advance.

You are welcome. Remember. SIVA'S (STATED INCOME, STATED INCOME LOANS) YOU ARE SAYING THIS IS WHAT I "REALLY" MAKE!!!

 

[CJane]

It's VERY common to use stated income on loan apps in order to determine income for someone in a CS proceeding. If you're willing to sign off on a loan app with a 'fudged' income, you really should be willing to pay CS based on that income.